Diageo (NYSE:DEO) Receives Upgrade from Goldman Sachs

Font: Financial Modeling Prep  • Aug 08, 2025

Diageo (NYSE:DEO) is a leading player in the alcoholic beverages industry, known for its wide range of spirits, beer, and wine. The company operates globally, with a strong presence in markets across Europe, North America, and Asia. Diageo's portfolio includes well-known brands such as Johnnie Walker, Smirnoff, and Guinness. It competes with other major beverage companies like Carlsberg AS (CABGY) and Anheuser-Busch InBev.

On August 7, 2025, Goldman Sachs upgraded Diageo from a "Sell" to a "Neutral" rating. At the time, DEO's stock price was $109. This upgrade reflects a shift in sentiment towards the company's performance and potential. The stock's price increase of approximately 1.90% or $2.03 suggests a positive market reaction to the upgrade.

Diageo's stock has shown some volatility, with a trading range between $106.97 and $109.27 on the day of the upgrade. Over the past year, DEO has experienced a high of $142.73 and a low of $96.45. This indicates that while the stock has faced challenges, it also has the potential for recovery and growth.

The company's market capitalization stands at approximately $60.56 billion, highlighting its significant presence in the industry. With a trading volume of 1,792,983 shares, there is considerable investor interest in DEO. This interest is further supported by the company's Zacks Rank of #2 (Buy), indicating positive earnings estimate revisions and an improving earnings outlook.

For investors interested in the Beverages - Alcohol sector, both Diageo and Carlsberg AS are potential value investments. Their Zacks Rank of #2 (Buy) suggests that they are attractive options for those seeking opportunities in this sector. As Diageo continues to navigate market challenges, its recent upgrade by Goldman Sachs may signal a more stable outlook for the company.